EconPapers    
Economics at your fingertips  
 

A Rank-dependent Scheduling Model

Paul Koster and Erik Verhoef

Journal of Transport Economics and Policy, 2012, vol. 46, issue 1, 123-138

Abstract: This paper proposes an analytical framework for the scheduling decisions of road travellers that takes into account probability weighting using rank-dependent utility theory. The fundamental difference with the standard scheduling model based on expected utility is that the probabilities of arrivals are treated in a non-linear way. This paper shows how scheduling decisions are affected by the weighted probabilities of the traveller. We derive the costs of non-optimal chosen departure times because of probability weighting and show that if the parameterised probability weighting function is similar to what has been found for gambling, the costs of probability weighting for morning peak car travellers are around 3 per cent. For the full range of parameters tested, we find costs in the range of 0-24 per cent of total travel costs. © 2012 LSE and the University of Bath

Date: 2012
References: Add references at CitEc
Citations: View citations in EconPapers (19)

Downloads: (external link)
http://www.catchword.com/cgi-bin/cgi?ini=bc&body=l ... 0120101)46:1L.123;1- (text/html)
Access to full text is restricted to subscribers.

Related works:
Working Paper: A Rank Dependent Scheduling Model (2010) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:tpe:jtecpo:v:46:y:2012:i:1:p:123-138

Access Statistics for this article

Journal of Transport Economics and Policy is currently edited by B T Bayliss, S A Morrison, A Smith and D Graham

More articles in Journal of Transport Economics and Policy from University of Bath
Bibliographic data for series maintained by Christopher F. Baum ().

 
Page updated 2025-03-20
Handle: RePEc:tpe:jtecpo:v:46:y:2012:i:1:p:123-138